I've been anticipating the beginning of June as I've been curious to see how the EOSIO 1.0 launch would affect the price of said currency and I've been quite pleased with the results. I was pretty sure this would spark a rally for several reasons...
- EOS held on many exchanges frozen during the transition--some holders cannot sell into a rally
- Some people may have sold prior to June 1 and are buying back in so they don't have to undergo the process of claiming tokens
- Let's face it...news is often what drives price, even if everyone knows some event is coming
- Day traders taking advantage of hype / volatility shortly after the launch
Well June 3rd is upon us and it looks like my suspicion about an EOS price rally were valid though I cannot say for sure exactly the reasons we're seeing this price spike...this is all merely speculation on my part and I'm not an expert on all things crypto by any means.
For now let's have a look at the charts, shall we? First let's look at a longer term view--the daily chart going back a few months...
There are some obvious bullish developments on this chart as of this weekend
- The huge bullish engulfing candle on June 2nd
- Daily RSI jumped from the 40's up to 60 in a couple of days--so it's still not that close to being overbought on a longer term time frame
- We're back above the middle AND the top bollinger band (in 2 days) after languishing below the middle BB since mid May
- Nice big green volume bar on June 2nd
And it looks like the price is preparing to do battle with a historically solid level of resistance around $15.40. Let's zoom in a bit to see the details of the rally so far, shall we? Let's go to the 30 minute chart...
Since early on June 2nd, the price has spiked quickly from the 12's to the 14's and even above $15 at time and is putting in higher lows on the shorter time frame charts. There's a pretty clear bull pennant that's formed the past couple of days which I anticipate we will see a breakout from fairly soon as the lows are getting closer to that $15.40ish resistance level we saw on the daily chart that the price has a history with going back a few months.
It's nice seeing the rally take a breather and things consolidating in this region as it allowed the shorter term RSI to cool off a bit. The RSI on the 30 min chart got well into the 80's on June 2nd and needed to reset a bit, which it has as on this chart we dropped back around 50 and increased to near 60 (at the time of this writing). I'm sure some savvy day traders took advantage of the volatility in this top gainer for the day of June 2nd and that's part of what we're seeing in terms of price movement on the chart.
The higher lows and the repeated testing of that $15.40 resistance level will hopefully lead to a strong, decisive break above that level and the formation of the "pole" of another bull pennant. That's what I'd like to see anyway.
As far as my position in EOS goes, I own a decent sized stake but wish I'd held every single bit that I originally did. Lesson learned. On a positive note--I didn't have to go through the process of claiming the tokens as I hold my EOS on a couple of exchanges (yes I know this is arguably a stupid thing to do--keeping cryptos held in a wallet on an exchange).
I realize I don't truly "own" the tokens...the exchanges do. But they're still worth the same amount on the open market as claimed tokens in a personal wallet. There is the risk that if said exchange weren't on the up and up I could be out some money if they don't actually have the number of tokens to back what investors are holding on the exchange.
There's multiple arguments against holding cryptos on an exchange and I won't go into those right now as it strays from the point of my post...but it's easier for me and I know I'm not the only one who leaves their cryptos in the hands of exchanges.
All wallet discussions aside, I'm pretty pleased with the rally this weekend and I hope to see some continuation in the near and long term. I won't speculate how high the price could go, but I sure do hope EOS gives BCash and maybe eventually XRP a run for it in terms of market cap.
It's also nice to see most everything green this weekend (including our beloved Steem, which I bought about 100 of Friday) and I can't help but wonder if this event was a major contributing factor to the short term sentiment in the overall crypto markets.
So congrats to all you EOS HODLers / investors. I can't wait to see what the future holds for this token and subsequently all of the investors who got in early.
DISCLAIMER: I am not nor do I claim to be a financial advisor. Do not make investment decisions based upon my blog material as it is merely my opinion / speculation / educated guesswork at best. Always do your own research before putting money into any stock, commodity, derivative, or crypto as you always assume some risk in playing the markets, especially the volatile crypto markets. Play it smart and play it safe if you choose to play.
What do you think it’s future will be like . Now and later ? The highest I’ve slready seen it go to is $19 I believe
The short term is harder to predict I think...we could see it drop out of the lower part of that bull pennant as the hype dies down but in the long term, depending on more fundamental things, I'm cautiously optimistic the we'll eventually see the price well over $20.
But I could be totally wrong about that so don't go investing in it solely on my opinions about EOS :) and thanks for inadvertently reminding me...I need to put a little disclaimer at the end of this post.
maybe the price will dip a little in the next days but that is not a problem. very soon it will bounce back and as we start to see DAPPS on EOS the entire community will rise and the industry will notice even more than they have noticed already. EOS will be huge and the price will be very bullish. Congrats to everyone who holds EOS.
replay the big moment again 😁👍
I can't believe how high it climbed before the launch...I knew it'd get to this point but I really didn't see it crossing the $10 as early as it did. Glad I got most of what I have now early. It'd have to drop a lot for me to be in the red. I might even add on a significant dip in the short term if that were to happen.
Love it. I've got a lot of faith in this one.
really very great information for crypto? really appreciating post.my dear friend. @cryptokeepr .. what,s your running game condition? you not giving post everyday.but this post very helpful for steemians.specially,i think it..just awesome knowledge creativity..very well done.take care yourself and best of luck of your great work.
Thank you...I took the week off running because the humidity and heat where I live have been awful and I'm still adjusting to it. Spent the week recovering from the race and a lot of other things I did last week.
That's very keen of you to notice that my Sunday post wasn't about running for the first time in quite awhile :) Actually I did run 1 mile Thursday but my body wasn't feeling it. Been doing more yoga instead in the comfort of my home.
really very appreciating post..my dear friend.. @cryptokeeper i am understand your situation.this yoga really very good habit in the world and you doing this yoga pratice of your house.its really very good.all the best for your good running race..very well done..take care yourself and best of luck of your great work.
EOS has a very good fundamentals and i believe that is what is driving the price of EOS higher, speaking as a crypto investor i think the price of EOS will reach 250 dollars before the end of this year. I am buying and holdng for the long term @cryptokeepr
Now that is something I'd love to see ($250 by December)! I was actually thinking about market cap wise it's not that out of the question that the market cap could go about a 10 fold increase to $130B. That's about what BTC market cap is now but I think there's a lot more money coming to the crypto sector and there may be some serious ranking changes coming, all in good time.
Many great apps are being developed on EOS blockchain. Prices will soon reflect it
Oh yeah. I've read there'll be air drops of new cryptos for EOS holders eventually...that'll also be a nice benefit.
The fundamentals are definitely looking good.
You're right. One currency goes up. And now the SBD and Steem has fallen. Now, shall we wait until it rises?
I'm thinking Steem may take a little while longer...lots of big things happening with this blockchain in the coming months leading up to the 3rd Q and end of the year but we could stay in this area or maybe a little higher in the short term.
I actually bought some Steem Friday and I do so when the price drops below $2.50ish, even if it's a smaller amount. I wouldn't mind being able to buy just a bit more steem in the 2's before it's off to the races.
Thank you for your continued support of SteemSilverGold
Bollinger Bands are stretching. No doubt we'll see a strong move very soon.
Awesome analysis.